Market Overview
Munitions
Market is projected to achieve a value of USD 40.83 Billion in 2023, with a
linear behavior in the market growth it is forecasted to achieve a value of USD
59.87 Billion by 2033 with a CAGR of 4.2% during the forecast period 2024-2033.
Munitions
refer to military weapons, ammunition, and equipment used in warfare or for
defense. These can include a wide range of items such as firearms, artillery
shells, bombs, grenades, rockets, bullets, and other tools and materials
designed for combat or military purposes. Munitions play a crucial role in
armed conflicts and are typically produced and controlled by governments and
military organizations to support their armed forces. The use, distribution,
and control of munitions are subject to strict regulations and international
agreements to prevent their misuse and proliferation.
The
most common types of munitions in use are small arms ammunition, artillery
shells, and missiles. Small arms ammunition is the most widely used type of
munition, accounting for over 50% of the total munitions market. Artillery
shells and missiles are also widely used, but they account for a smaller share
of the market.
The
major end-users of munitions are militaries and law enforcement agencies.
Militaries account for the majority of munition demand, but law enforcement
agencies are also significant end-users. Civilian security companies also use
munitions, but to a lesser extent.
The
munitions industry is growing steadily. The growth of the market is being
driven by a number of factors, including increasing military spending, the
growing demand for security services, and the development of new munition
technologies.
Market Scope
Report Attributes |
Description |
Market Size in 2023 |
USD
40.83 Billion |
Market Forecast in 2033 |
USD 59.87
Billion |
CAGR % 2024-2033 |
4.2% |
Base Year |
2023 |
Historic Data |
2016-2022 |
Forecast Period |
2024-2033 |
Report USP |
Production,
Consumption, company share, company heatmap, company production capacity,
growth factors and more |
Segments Covered |
Product Type, Material Composition, End-user
and Application |
Growth Drivers |
Law enforcement
agencies require ammunition for training, operations, and maintaining public
safety. The demand for ammunition can vary based on regional security
concerns and law enforcement practices. As military and defense systems become more interconnected and reliant on technology, there is an increased focus on securing defense infrastructure, which includes munitions facilities. Research and development efforts in munitions technology result in more effective and precise ammunition, driving demand for modern munitions. |
Regional Scope |
North America, Europe, APAC, South
America and Middle East and Africa |
Country Scope |
U.S.; Canada;
U.K.; Germany; France; Italy; Spain; Benelux; Nordic Countries; Russia;
China; India; Japan; South Korea; Australia; Indonesia; Thailand; Mexico;
Brazil; Argentina; Saudi Arabia; UAE; Egypt; South Africa; Nigeria |
Key Companies |
Northrop Grumman Corporation, General
Dynamics Corporation, Olin Corporation, Vista Outdoor Inc., BAE Systems, Nammo
AS, RUAG Ammotec, Nexter Group, Poongsan Corporation, Denel SOC Ltd., and Kratos
Defense & Security Solutions among others |
Market Dynamics
Increasing
military spending can indeed drive the munitions market, as governments and
military organizations invest in the development, procurement, and stockpiling
of various munitions to strengthen their armed forces. This increased spending
can lead to market growth in the defense and munitions sector.
According
to the Stockholm International Peace Research Institute (SIPRI), global
military expenditure has been on the rise in recent years. For instance, in
2021, global military spending reached approximately $1.98 trillion, which
represented a 2.4% increase compared to 2020.
Increased
military spending often results in the acquisition of advanced munitions
systems, including precision-guided munitions, smart bombs, and high-tech
weaponry. This drives the demand for munitions manufacturers to produce more
and better munitions.
The
United States is the world's largest military spender. In 2022, the U.S.
defense budget was estimated at around US$ 753.5 billion. This substantial
allocation of funds supports the development and procurement of munitions,
including missiles, artillery, and small arms.
As
geopolitical tensions increase in various regions, countries may allocate
additional funds for military modernization and defense preparedness. For
example, the tension between countries in the South China Sea has driven
several countries in the Asia-Pacific region to increase their military
spending, leading to the growth of the munitions market in the region.
Market Product Type Analysis
Bullets
account for the largest share of the munitions industry, followed by artillery
shells, mortars, grenades, and aerial bombs. This is because bullets are the
most widely used type of munition. Bullets are used in a variety of weapons,
including handguns, rifles, and machine guns. Artillery shells are used in
cannons and howitzers. Mortars are used to fire projectiles at short and medium
ranges. Grenades are used to attack targets at close range. Aerial bombs are
used to attack targets from the air.
Bullets
are a fundamental component of small arms ammunition, which includes handguns
and rifles. They are a significant part of the munitions market, catering to
military, law enforcement, and civilian sectors.
Aerial
bombs include various types like guided bombs, unguided bombs, and cluster
bombs. Their market share can be influenced by military conflicts, aerial
warfare capabilities, and geopolitical factors.
Hand
grenades and similar explosive devices are essential for both military and law
enforcement agencies. Market share might depend on the level of
counterterrorism operations and military conflicts.
Market Application Analysis
Combat
is the dominant application within munitions market, accounting for over 70% of
the global market share. This is due to the high demand for munitions from
militaries around the world. Training is the second largest application, as
militaries and law enforcement agencies need to train their personnel on how to
use munitions safely and effectively. Hunting and sporting is the smallest
application for munitions, but it is still a significant market.
Munitions
used in combat scenarios, including military conflicts and law enforcement
operations, often represent a substantial portion of the market. This category
can include various types of ammunition and explosives used by armed forces and
security agencies.
Training
munitions are used for military and law enforcement exercises and simulations.
These are designed to mimic the performance of live ammunition but with reduced
risk. Training munitions might include blank rounds, munitions, and non-lethal
training ammunition.
Munitions
used for hunting and sporting purposes can also contribute to the market share.
This category includes ammunition for shotguns, rifles, and handguns used by
hunters, competitive shooters, and sports enthusiasts.
Market End-User Analysis
The
armed forces are the dominant end-users of munitions market, accounting for
over 80% of the global market share. This is due to the high demand for
munitions from militaries around the world to protect their national security. Munitions
used by military organizations represent a substantial portion of the market.
These munitions are designed for combat and defense purposes and include a wide
range of ammunition, explosives, and weaponry.
Law
enforcement agencies are the second largest end-users of munitions, using them
for a variety of purposes, including crowd control, counter-terrorism, and
hostage rescue operations. Law enforcement agencies use munitions for various
purposes, including maintaining public order, counterterrorism operations, and
specialized law enforcement tasks. This category may include items such as
non-lethal ammunition, tear gas canisters, and specialized less-lethal
munitions.
Civilian
consumers are the smallest end-users of munitions market, but they still
account for a significant market, particularly in the United States. Civilian
consumers may purchase munitions for various purposes, including hunting,
sports shooting, and self-defense. This category can include small arms
ammunition, shotgun shells, and other firearms-related products.
Market Regional Analysis
North
America holds the largest share within munitions market, accounting for over
30% of the global market share. This is due to the high military spending of
the United States and other countries in the region. Europe is the second
largest market for munitions, followed by Asia Pacific, the Middle East, and
Latin America.
The
munitions market in North America is dominated by the United States, which is
the world's largest military spender. The United States government is also a
major exporter of munitions to other countries around the world.
The
munitions market in Europe is fragmented, with a number of different countries
being major producers and consumers of munitions. The United Kingdom, France,
and Germany are the largest markets in Europe.
The
market in Asia Pacific is growing rapidly, driven by increasing military
spending in countries such as China, India, and Japan. China is the largest
market in Asia Pacific, followed by India and Japan.
The
munitions market in the Middle East is volatile, due to the ongoing conflicts
in the region. Saudi Arabia is the largest market in the Middle East, followed
by the United Arab Emirates and Iraq.
The
market in Latin America is small, but it is growing due to increasing military
spending in countries such as Brazil and Mexico. Brazil is the largest market
in Latin America, followed by Mexico and Colombia.
Competitive Analysis
The
top five companies in the munitions market account for over 50% of the global
market share. Lockheed Martin is the largest producer of munitions in the
world, followed by Raytheon Technologies, Northrop Grumman, BAE Systems, and
General Dynamics. These companies produce a wide range of munitions, including
small caliber ammunition, aerial bombs, artillery shells, mortars, and missiles.
Lockheed
Martin is the world's largest defense contractor and the largest producer of
munitions. The company produces a wide range of munitions, including the
Javelin anti-tank missile, the Patriot surface-to-air missile, and the GBU-31
JDAM bomb.
Raytheon
Technologies is a global aerospace and defense company that produces a wide
range of munitions, including the AIM-120 AMRAAM air-to-air missile, the BGM-71
TOW anti-tank missile, and the R9X Hellfire air-to-surface missile.
Northrop
Grumman is a global aerospace and defense company that produces a wide range of
munitions, including the AGM-158 JASSM air-to-surface missile, the GBU-53
StormBreaker glide bomb, and the BGM-109 Tomahawk cruise missile.
BAE
Systems is a global defense, security and aerospace company that produces a
wide range of munitions, including the Brimstone air-to-surface missile, the
ASRAAM air-to-air missile, and the L70 105mm artillery shell.
Research
Report Following Segments:
Market, By Product Type
·
Bullets
·
Aerial Bombs
·
Grenades
·
Artillery Shells
·
Mortars
·
Others
Market, By Application
·
Combat
·
Training
·
Hunting and Sporting
Market, By End-User
·
Armed Forces
·
Law Enforcement Agencies
·
Civilian Consumers
Market, By Material Composition
·
Conventional Munitions
·
Non-Lethal Munitions
·
Smart Munitions
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Conclusion
The report aided the client in understanding the market trends, including country-level business scenarios, consumer behavior, and trends in 50 countries. The report also provided financial insights of crucial players and detailed market estimations and forecasts till 2033.
Global Munitions market was valued at USD 40.83 billion in 2023 and is estimated to reach value of 50.87 billion by 2033.
Saudi Arabia, United Arab Emirates, Qatar, Egypt, Turkey, India, Poland, South Korea, Brazil, Australia and Israel are the fastest growing countries within the global market.
Northrop Grumman Corporation, General Dynamics Corporation, Olin Corporation, Vista Outdoor Inc., BAE Systems, Nammo AS, RUAG Ammotec, Nexter Group, Poongsan Corporation, Denel SOC Ltd., and Kratos Defense & Security Solutions are the top companies in the market.
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